The EITC, Tax Refunds, and Unemployment Spells
The earned income tax credit generates large average tax refunds for low-income parents, and these refunds are distributed in a narrow time frame. I rely on this plausibly exogenous source of variation in liquidity to investigate the effect of cash on hand on unemployment duration. Among EITC-eligible women, unemployment spells beginning just after tax refund receipt last longer than unemployment spells beginning at other times of year. There is no evidence that tax refund receipt is associated with longer unemployment duration for men, or that the longer durations for women are associated with higher-quality subsequent job matches. (JEL H24, J64)
Volume (Year): 5 (2013)
Issue (Month): 2 (May)
|Contact details of provider:|| Web page: https://www.aeaweb.org/aej-policyEmail: |
More information through EDIRC
|Order Information:||Web: https://www.aeaweb.org/subscribe.html|
This item is featured on the following reading lists or Wikipedia pages:
- The EITC, Tax Refunds, and Unemployment Spells (AEJ:EP 2013) in ReplicationWiki
When requesting a correction, please mention this item's handle: RePEc:aea:aejpol:v:5:y:2013:i:2:p:188-221. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jane Voros)or (Michael P. Albert)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.